Contract claims in the employment tribunal
Contract claims in the employment tribunal

The following Employment guidance note provides comprehensive and up to date legal information covering:

  • Contract claims in the employment tribunal
  • Claims for unpaid wages or salary
  • Employment tribunal's limited jurisdiction
  • Where the employee's losses exceed £25,000
  • Time limits
  • Breach of contract claims by employers
  • Tribunal or court contract claim—factors to consider
  • Further resources

UPDATE: On 26 September 2018 the Law Commission launched a Consultation paper on Employment Law Hearing Structures seeking views on how the shared jurisdictions of the employment tribunal, Employment Appeal Tribunal and the civil courts could be improved upon, including the jurisdictional boundaries between them, areas of shared and exclusive jurisdiction, restrictions on employment tribunal jurisdiction and the handling of employment cases in civil courts involving employment and discrimination matters. The consultation questions include whether employment tribunals should have jurisdiction for breach of contract claims while employment continues [Q10], whether the £25,000 breach of contract claim limit should be raised [Q12] and whether the breach of contract jurisdiction should be extended to workers and the self-employed [Q21, Q22, Q23]. For further information, see LNB News 27/09/2018 41.

This Practice Note examines the jurisdiction of the employment tribunal to hear claims for breach of contract under the Employment Tribunals Extension of Jurisdiction (England and Wales) Order 1994, SI 1994/1623.

It considers:

  1. claims for unpaid wages or salary

  2. the limits on the employment tribunal's jurisdiction in breach of contract claims

  3. the implications of those limits where the employee's losses exceed £25,000

  4. the time limits for bringing a breach of contract claim in the employment tribunal

  5. breach of contract claims by employers, and

  6. the factors